Page 6 - PERFORM_MODULE_1_CONTENT

CSR is not a new concept—it has evolved over centuries. Robert Owen (1812) introduced a

socially conscious business model focused on community welfare. The modern understanding
of CSR took shape with scholars like Keith Davis (1960) and Archie Carroll (1979), who framed
CSR as a layered responsibility: economic, legal, ethical, and philanthropic.

Carroll's CSR Pyramid (1991) is still influential. It advocates that firms must simultaneously

fulfil profit objectives, legal compliance, ethical standards, and discretionary (philanthropic)
responsibilities. More recently, Schwartz and Carroll (2003) proposed a Three-Domain Model
integrating ethical, legal, and economic imperatives.

CSR today is recognised as a strategic asset. According to Porter and Kramer (2007),
companies should pursue shared value, aligning social progress with business success. This

approach improves reputation, attracts talent, reduces risks, and can drive innovation. Sciarelli
and Sciarelli (2018) further argue that CSR is a source of competitive advantage, especially

when embedded into the company's value chain (Porter, 1985).
CSR is deeply interwoven with sustainable development, as defined by the Brundtland Report

(WCED, 1987): "meeting the needs of the present without compromising the ability of future
generations to meet their own needs." The United Nations' Agenda 2030 and its 17 Sustainable

Development Goals (SDGs) provide a universal framework for businesses to contribute to
social equity, environmental protection, and economic growth.

John Elkington's Triple Bottom Line (1997)—People, Planet, Profit—underscores the need for
a multidimensional evaluation of business performance. His recent Green Swans (2020)

concept reflects systemic, regenerative solutions with exponential social and environmental
value.

To promote credible CSR practices, organisations are encouraged to follow ISO 26000
guidelines and OECD principles and work with governments and civil society. However, the

rising threat of greenwashing—where companies exaggerate or misrepresent their
sustainability claims—necessitates greater transparency and accountability (Delmas &

Burbano, 2011).
In recent years, Corporate Social Responsibility (CSR) has evolved from being viewed primarily

as a moral obligation to being recognised as a strategic driver of business success and
resilience. This shift is particularly relevant in the hospitality industry, where social,

environmental, and ethical considerations are increasingly seen as key factors in long-term
competitiveness, customer loyalty, and brand reputation.

5 | P a g e

Project Number 2023-1-IT01-KA220-VET-000152721